Sendas Distribuidora (NYSE:ASAI) versus J Sainsbury (OTCMKTS:JSNSF) Head to Head Review

Sendas Distribuidora (NYSE:ASAI) and J Sainsbury (OTCMKTS:JSNSF) are both consumer discretionary companies, but which is the superior business? We will compare the two companies based on the strength of their valuation, analyst recommendations, risk, dividends, earnings, institutional ownership and profitability.

Analyst Recommendations

This is a breakdown of current recommendations for Sendas Distribuidora and J Sainsbury, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Sendas Distribuidora	0	0	1	0	3.00
J Sainsbury	0	0	0	0	N/A

Valuation and Earnings

This table compares Sendas Distribuidora and J Sainsbury’s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Sendas Distribuidora	$13.32 billion	0.27	$142.21 million	$0.53	25.06
J Sainsbury	N/A	N/A	N/A	$0.02	205.21

Sendas Distribuidora has higher revenue and earnings than J Sainsbury. Sendas Distribuidora is trading at a lower price-to-earnings ratio than J Sainsbury, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Sendas Distribuidora and J Sainsbury’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Sendas Distribuidora	1.07%	16.78%	1.75%
J Sainsbury	N/A	N/A	N/A

Institutional and Insider Ownership

8.8% of Sendas Distribuidora shares are owned by institutional investors. Comparatively, 23.0% of J Sainsbury shares are owned by institutional investors. 0.4% of Sendas Distribuidora shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Dividends

Sendas Distribuidora pays an annual dividend of $0.05 per share and has a dividend yield of 0.4%. J Sainsbury pays an annual dividend of $0.17 per share and has a dividend yield of 5.2%. Sendas Distribuidora pays out 9.4% of its earnings in the form of a dividend. J Sainsbury pays out 1,061.3% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Summary

Sendas Distribuidora beats J Sainsbury on 8 of the 11 factors compared between the two stocks.

About Sendas Distribuidora

Sendas Distribuidora S.A. engages in the retail and wholesale sale of food products, bazaar items, and other products in Brazil. The company serves restaurants, pizzerias, snack bars, schools, small businesses, religious institutions, hospitals, hotels, grocery stores, neighborhood supermarkets, and individuals. It sells its products through brick-and-mortar stores, as well as through telesales. The company was founded in 1974 and is headquartered in Rio de Janeiro, Brazil.

About J Sainsbury

J Sainsbury plc, together with its subsidiaries, engages in the food, general merchandise and clothing retailing, and financial services activities in the United Kingdom and the Republic of Ireland. It operates through three segments: Retail Food, Retail General Merchandise and Clothing, and Financial Services. The company operates various store formats, including convenience stores and supermarkets. It is also involved in the online grocery and general merchandise operations. In addition, it offers financial services, such as credit cards, scorecards, and personal loans; and home, car, pet, travel, and life insurance products. J Sainsbury plc was founded in 1869 and is headquartered in London, the United Kingdom.